It May Be Time for the Fed to Go Negative

[4plexowner]

[img_assist|nid=10887|title=Typical Economist|desc=|link=node|align=left|width=234|height=279]

I love this picture

http://news.goldseek.com/GoldSeek/1240496488.php

follow the link and look at the ‘money’ pyramid – as the economy falters and people become more risk adverse they move their money from the top of the upside-down pyramid (risky assets) towards the bottom (safe assets) – note where silver and gold fall in the pyramid and the amount of money that could potentially try to move into precious metals – this dynamic is part of why I can accept projections of gold hitting $5000/oz and more – the precious metals markets are TINY in comparison to all of the paper ‘wealth’ that is floating around this planet

Jason Hommel’s price projections have been consistently the highest – here’s his latest

http://news.silverseek.com/GoldIsMoney/1240373742.php

his LOW projections are $18,000/oz for gold and $1,800/oz for silver

[4plexowner]

“The effect would be riots and seriously ticked-off folks suddenly out of 10% of their savings.”

so it’s OK if they debase the currency 10% a year but not OK if they steal the money directly?

[4plexowner]

“The effect would be riots and seriously ticked-off folks suddenly out of 10% of their savings.”

so it’s OK if they debase the currency 10% a year but not OK if they steal the money directly?

[4plexowner]

“The effect would be riots and seriously ticked-off folks suddenly out of 10% of their savings.”

so it’s OK if they debase the currency 10% a year but not OK if they steal the money directly?

[4plexowner]

“The effect would be riots and seriously ticked-off folks suddenly out of 10% of their savings.”

so it’s OK if they debase the currency 10% a year but not OK if they steal the money directly?

[4plexowner]

“The effect would be riots and seriously ticked-off folks suddenly out of 10% of their savings.”

so it’s OK if they debase the currency 10% a year but not OK if they steal the money directly?

[Coronita]

I think a more practical yet equivalent idea (putting on my evil thinking hat) would be….

1) Find out poeple who make/save more in this country
2) Tax these people more (increase their taxes by 10%)
3) Handout bigger stimulus checks to people that don’t pay taxes or don’t pay enough taxes but have been proven to spend a lot….

However, rather make those stimulus checks something you can deposit into the bank… make it like a gift certificate that cannot be redeemed for cash (no cash value) in banks/atms/etc…Make sure those stimulas gift certificates can only be used for purchases and make sure these stimulus gift certificates expire in 1 year or less. Totally possible to implement…Just have the Fed issue prepaid Visa/Mastercard/American Express gift cards with an expiration date. Heck, it would even make some of these financial institution’s earnings look good.

You could even expand the program such that you get more bank for buck at “preferred” Fed bailed out companies. For example:

*Spend the gift card toward a Fed-backed GM car, double the purchasing power of the card

*Spend the gift card on an AIG insurance product, get $50 back

..and so on…

Laugh now while you can…

[Coronita]

I think a more practical yet equivalent idea (putting on my evil thinking hat) would be….

1) Find out poeple who make/save more in this country
2) Tax these people more (increase their taxes by 10%)
3) Handout bigger stimulus checks to people that don’t pay taxes or don’t pay enough taxes but have been proven to spend a lot….

However, rather make those stimulus checks something you can deposit into the bank… make it like a gift certificate that cannot be redeemed for cash (no cash value) in banks/atms/etc…Make sure those stimulas gift certificates can only be used for purchases and make sure these stimulus gift certificates expire in 1 year or less. Totally possible to implement…Just have the Fed issue prepaid Visa/Mastercard/American Express gift cards with an expiration date. Heck, it would even make some of these financial institution’s earnings look good.

You could even expand the program such that you get more bank for buck at “preferred” Fed bailed out companies. For example:

*Spend the gift card toward a Fed-backed GM car, double the purchasing power of the card

*Spend the gift card on an AIG insurance product, get $50 back

..and so on…

Laugh now while you can…

[Coronita]

I think a more practical yet equivalent idea (putting on my evil thinking hat) would be….

1) Find out poeple who make/save more in this country
2) Tax these people more (increase their taxes by 10%)
3) Handout bigger stimulus checks to people that don’t pay taxes or don’t pay enough taxes but have been proven to spend a lot….

However, rather make those stimulus checks something you can deposit into the bank… make it like a gift certificate that cannot be redeemed for cash (no cash value) in banks/atms/etc…Make sure those stimulas gift certificates can only be used for purchases and make sure these stimulus gift certificates expire in 1 year or less. Totally possible to implement…Just have the Fed issue prepaid Visa/Mastercard/American Express gift cards with an expiration date. Heck, it would even make some of these financial institution’s earnings look good.

You could even expand the program such that you get more bank for buck at “preferred” Fed bailed out companies. For example:

*Spend the gift card toward a Fed-backed GM car, double the purchasing power of the card

*Spend the gift card on an AIG insurance product, get $50 back

..and so on…

Laugh now while you can…

[Coronita]

I think a more practical yet equivalent idea (putting on my evil thinking hat) would be….

1) Find out poeple who make/save more in this country
2) Tax these people more (increase their taxes by 10%)
3) Handout bigger stimulus checks to people that don’t pay taxes or don’t pay enough taxes but have been proven to spend a lot….

However, rather make those stimulus checks something you can deposit into the bank… make it like a gift certificate that cannot be redeemed for cash (no cash value) in banks/atms/etc…Make sure those stimulas gift certificates can only be used for purchases and make sure these stimulus gift certificates expire in 1 year or less. Totally possible to implement…Just have the Fed issue prepaid Visa/Mastercard/American Express gift cards with an expiration date. Heck, it would even make some of these financial institution’s earnings look good.

You could even expand the program such that you get more bank for buck at “preferred” Fed bailed out companies. For example:

*Spend the gift card toward a Fed-backed GM car, double the purchasing power of the card

*Spend the gift card on an AIG insurance product, get $50 back

..and so on…

Laugh now while you can…

[Coronita]

I think a more practical yet equivalent idea (putting on my evil thinking hat) would be….

1) Find out poeple who make/save more in this country
2) Tax these people more (increase their taxes by 10%)
3) Handout bigger stimulus checks to people that don’t pay taxes or don’t pay enough taxes but have been proven to spend a lot….

However, rather make those stimulus checks something you can deposit into the bank… make it like a gift certificate that cannot be redeemed for cash (no cash value) in banks/atms/etc…Make sure those stimulas gift certificates can only be used for purchases and make sure these stimulus gift certificates expire in 1 year or less. Totally possible to implement…Just have the Fed issue prepaid Visa/Mastercard/American Express gift cards with an expiration date. Heck, it would even make some of these financial institution’s earnings look good.

You could even expand the program such that you get more bank for buck at “preferred” Fed bailed out companies. For example:

*Spend the gift card toward a Fed-backed GM car, double the purchasing power of the card

*Spend the gift card on an AIG insurance product, get $50 back

..and so on…

Laugh now while you can…

[patientrenter]

I have an even better idea. It’s not savings that kill our economy, it’s the savers. So just shoot the people who save the most. Kills two birds with one stone: reduces overpopulation and stimulates the economy the way Krugman and all the other pols and economists want.

To avoid too many complaints and.. messiness, just announce you’ll shoot one person each year from each zip code – the person who saves the most.

[patientrenter]

I have an even better idea. It’s not savings that kill our economy, it’s the savers. So just shoot the people who save the most. Kills two birds with one stone: reduces overpopulation and stimulates the economy the way Krugman and all the other pols and economists want.

To avoid too many complaints and.. messiness, just announce you’ll shoot one person each year from each zip code – the person who saves the most.

[patientrenter]

I have an even better idea. It’s not savings that kill our economy, it’s the savers. So just shoot the people who save the most. Kills two birds with one stone: reduces overpopulation and stimulates the economy the way Krugman and all the other pols and economists want.

To avoid too many complaints and.. messiness, just announce you’ll shoot one person each year from each zip code – the person who saves the most.

[patientrenter]

I have an even better idea. It’s not savings that kill our economy, it’s the savers. So just shoot the people who save the most. Kills two birds with one stone: reduces overpopulation and stimulates the economy the way Krugman and all the other pols and economists want.

To avoid too many complaints and.. messiness, just announce you’ll shoot one person each year from each zip code – the person who saves the most.

[Author]

Posts